Governor of Banxico Reports CBDC Advancements

Banxico has given a status update on its CBDC, the digital peso. The governor of Banxico, Victoria Rodríguez Ceja, informed that the bank had a rough approximation of the time it will take to complete and launch the currency. During the bank's visit to the Senate to render its annual report, Rodríguez Ceja stated:

We estimate that in this process we will take around three years for its definitive operation.

The governor also stated this currency could be used as a means of exchange, as a unit of account, and as a store of value — three traits of money. The development of this currency was announced back in December 2021, when the governor, also before the Senate, talked about the possible functions that such a currency could have.

Financial Inclusion and Payments

Rodríguez Ceja compared cryptocurrencies and the CBDC that is in process of development, explaining the differences between the two. She stated that the upcoming digital currency was backed by the central bank, and will be part of the monetary base of the country.